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Cabinet approves two-and-a-half per cent increase in DACF
Accra, July 25, Ghanadot/GNA - Cabinet has approved a
two-and-a-half per cent increase in the District Assemblies
Common Fund (DACF) in line with Government's policy to
reduce poverty in rural communities.
A statement issued in Accra on Tuesday and signed by Mr
Frank Asante, Public Relations Officer at the Ministry of
Local Government, Rural Development and Environment, said
Parliament ratified the approval on Friday, July 20.
It said Parliament recommended effective monitoring and
evaluation as well as the use of the fund to benefit
communities in the districts.
The statement said Parliament requested the ministry to
transfer requisite personnel especially accountants to the
assemblies to ensure proper accounting of the fund.
The ministry was in addition, urged to establish a mediating
mechanism to reduce the tensions between Members of
Parliament and Metropolitan, Municipal and District Chief
Executives in the use of the fund.
"This should involve the ministry, Administrator of the Fund
and leadership of Parliament," It added.
The statement said Cabinet's approval was based on the need
for an efficient and effective decentralisation system,
increase in the number of assemblies and efficient
sub-structures.
Others were rehabilitation of feeder roads, provision of
facilities for the police, judiciary, fire service and other
State institutions, School Feeding Programme and Capitation
Grant, National Youth Employment Programme and the
Disability Act.
Act 455 of 1993 established the fund under which Government
through Parliament shall annually allocate not less than
five per cent of the total revenue of Ghana to the
assemblies for development.
The statement said the first release of the fund was
disbursed in 1994 and having been in existence for more than
13 years there was the need for the review of the DACF rate.
GNA
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